On the back of higher Yamaha motorcycle sales in Malaysia and Vietnam, Hong Leong Industries (HLI) reported a 19.2% increase in net profit for the last quarter in its 2025 financial year (FY2025). In a Bursa Malaysia filing, HLI said this was due to higher motorcycle sales and lower raw material costs from better currency exchange.
HLI’s quarterly revenue increased 8.4% to RM841.90 million from RM776.57 million previously, primarily due to increased sales volume of motorcycles. As for net profit, HLI reported earning RM486.03 million in FY2025 from RM387.90 million in FY2024, an increase of 25.3%, with revenue increasing 14.6% to RM3.57 billion.
This was despite a one-off RM28 million sales tax provision in the third quarter, following the HLI’s unsuccessful defence in Federal Court against an appeal filed by the Royal Malaysian Customs Department for sales tax imposed on motorcycle parts. Nevertheless, HLI’s gross profit margin improved by 3.03% year-on-year to 26.77%, while its operating margin rose 3.44 points to 21.63%.
HLI is confident motorcycle market demand in Malaysia will continue into financial year 2026, and expects good results thanks to strong operations and automation investments. HLI makes and sells Yamaha motorcycles, scooters, parts, and ceramic tiles under the Guocera brand, as well as distribution of marine and automotive products.
